After the latest funding round, the company is valued at over $100 Mn.

Launched in 2013 by Gaurav Hinduja and Sashank Rishyasringa, Capital Float is a digital financing platform that provides quick and easy capital to help businesses fund rapid growth. It works with SMEs ecommerce merchants, small manufacturers, and early-stage B2B service providers to provide flexible, short-term loans that can be used to purchase inventory, service new orders or optimize cash cycles. It has partnered with various ecommerce players like Snapdeal, Alibaba, ShopClues, eBay, Myntra, PayTM, Fashion and You, and Zovi, to offer working capital finance.

The startup plans to use the newly raised funds for ramping up its proprietary credit underwriting engine, penetrating newer segments, including travel and driver financing, as well as introducing new product lines. It also aims to disburse up to INR 2,000 Cr in loans by March 2017.

Sashank Rishyasringa, co-founder of Capital Float, said, “In terms of new segments, we have been looking at driver financing space through our partnership with Uber. B2B marketplaces will also be a strong focus area. We have a partnership with Alibaba and are also partnering with Industrybuying, Tolexo amongst others.”

Capital Float has so far raised a total of $42 Mn. The startup raised $13 Mn in a Series A round led by SAIF Partners, Sequoia Capital and Aspada, in 2015. In 2014 it raised $1 Mn in August from SAIF Partners and a seed investment of $2 Mn from the Aspada Investment Company.

Patrick Fisher, Managing Partner & Founder,Creation Investments, said, “SME lending represents a very large, underserved, and growing market opportunity in India. By leveraging technology, Capital Float has built a differentiated model that is able to deliver credit to the smallest of businesses in a scalable and efficient manner. We are impressed with their execution and the scale they have achieved in a relatively short period of time. We are excited to partner with Capital Float in the next phase of this journey.”

Welcome to Flash Feed, your essential source for breaking news and innovation from around the web – bite-sized and updated all day.

Note: We at Inc42 take our ethics very seriously. More information about it can be found here.